Whether you like it or not, businesses are required to have some kind of insurance; some states are a lot stricter compared to others. Toronto commercial insurance will have you covered but it depends on the kind you sign up for. Insurance companies offer a wide range of packages from the most basic to the ones that can seemingly cover every kind of injury or damage.
What Makes Up Insurance Prices?
People that like their insurance premiums low and affordable should be mindful of factors that make this possible. The overall cost of the commercial insurance depends on the level of risk that the business is exposed to and what kind of business it actually is. For example fishing operations in the open ocean face a lot more risk than the local bakery down the road; commercial insurance can cost anywhere from a couple of hundred dollars to a small fortune. To be able to qualify for the lowest premium possible, the risk exposure of your business has to be minimal at best. Insurance agents would interview you alongside a checklist to help them discover the kind of risks that the businesses usually face and what kind of coverage is ideal. Here are the general topics on the checklist:
- Business type
- Total number of employees
- Annual gross receipts
- Driving records
- Official safety programs
- Square footage of the leased or owned property
- Fire protection
- Claims history
When an agent present two ideal insurance packages, ask for their advance in comparing both. Quotations given to you can either be for commercial insurance policies or business owners’ policies. Usually, the business owners’ policy offers wider covered in standard policies without being endorsed or having an entirely separate policy purchased to cover a specific exposure.